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NDIA Integrated Program Management Division (IPMD) Earned Value Management System

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NDIA Integrated Program Management Division (IPMD)

Earned Value Management System

Page 2

Introduction

• Have you ever wondered “who” is setting the EVM Policy and publishing the vast amount of documentation such as the ANSI/EIA-748, Intent Guide, CPR DIDs, Integrated Program Management Report (IPMR) Guide, etc.?

• Have you ever wondered what goes on “behind the magic curtain” within DCMA surveillance and who sets their policy?

• Have you ever wanted to have a voice or a say about what is written into policy?

• Have you ever wondered where these people come from? Are they real?

• Have you ever found yourself “frustrated” digging through all the EVM guidance or “lack of”?

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NDIA - IPMD

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Topics

• NDIA Integrated Program Management Division (IPMD) Objectives • Meetings – What do we do?

• PARCA – Performance Assessment and Root Cause Analysis • Working Groups

─ Program Management ─ Clearing House ─ Civilian Agency Industry Working Group ─ Guides Steering Group ─ Planning & Scheduling ─ Agile – New ─ Prime/Subcontract Management – New ─ Risk & Opportunity

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NDIA IPMD Objectives

• Definition of IPM ─ The disciplined performance management methodology of

planning and executing programs to optimize outcomes

• Serve as a thought leader and source of best practices for program performance measurement.

• Strengthen trusted relationships with PARCA and DoD oversight agencies and jointly work on EVMS-related policies and activities to achieve approved EVM systems, consistent practices, and no surprises to industry.

• Sponsor working groups to improve the state of the program performance management in specific focus areas such as Production, Planning & Scheduling, and Service Sustainment.

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NDIA IPMD Objectives – Cont.

• Collaborate across all federal agencies to resolve disparate EVM interpretation and documentation emanating from multiple sources.

• Collaborate with other NDIA Divisions and professional associations. ─ i.e. AACE

Page 8

NDIA IPMD Board Members

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Meetings - What Do We Do?

• Day 1 is an Industry Day ─ Discuss current issues i.e. DCMA EVMS Site Approval Memo, Clearinghouse

Updates, etc. ─ Tool discussion ─ Panel Discussions by Industry Experts

Nunn McCurdy, EV Lite, Stop Work Order, DOE EVMS Operational Environment, EVM Rightsizing

─ Break into Working Groups Clearinghouse, PM, Production, Risk Management, Subcontracts/Contracts, etc.

• Day 2 is Government/Industry Day

─ DoD PARCA (Performance Assessment and Root Cause Analysis – Owns EVM Policy)

─ NASA ─ DCMA ─ Panel Discussions

Understanding Root Cause, PM Engagement – Best Practices in Achieving Outcomes

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Day 3 – PARCA

Website: http://www.acq.osd.mil/evm/

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PARCA Policy

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Meetings - What Do We Do?

• Day 3 - NDIA and PARCA Working Group

─ Update on CAPE Initiative Disparity of the reporting elements between the CCDR Plan and the CPR/Format 1 can and does

drive additional Control Accounts which drives additional costs.

─ Stop Work Order Update Issue of EAC values greater than budgets and the drive to reduce contract value by amounts

greater than originally put on contract. Stop Work/Deleted Work should be at the Original Budget Units

─ Technical Performance Measures into EVM Initiative Relating TPMs to EVM Performance Claims Relating progress and quality of CDRL deliveries to EV performance Performance claims tied to Government acceptance

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Meetings - What Do We Do?

• Day 3 (Cont.) ─ What value should be placed in the PMB for Authorized Unpriced Work

(AUW) with NTEs. We believe it should be the estimate for the AUW—not the funding constraint---just like at the

start of any project. The IPMR implementation guide states the proposed amount should be used (industry’s position) but the DID says the NTE amount.

─ What are the conditions where OSD and PARCA is granting waivers around EVMS requirements? Total of 48 requests to date Service Contracts Government to Government

─ Subcontractor EVM Flowdown If prime is not initially required to flow down EVMS to a subcontract but the subcontract

eventually exceeds the $20M thresholds, is EVMS flow down? Only if a deviation request was submitted.

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IPMD Working Groups

• Clearing House • Program Management • Civilian Agency Industry Working Group • Guides Steering Group • Planning & Scheduling • Services & Sustainment • Agile – New • Prime/Subcontract Management – New • Risk & Opportunity

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Working Group Review

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Charter

• Serve as the Clearinghouse for Industry EVMS and other integrated program management related issues.

• Discuss issues raised by the IPMD members, identify common issues,

gather facts and supporting data, and formulate industry positions; develop recommendations for issue resolution, using the agreed upon interface process where applicable.

• Present recommendations to the IPMD Board and support the process, as

required, to implement board approved recommendations. • The Clearinghouse has been functioning for years, but is being revitalized to

institute electronic form submittal, tracking and interfaces with designated government entities i.e. DoD PARCA, DCMA.

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Clearinghouse Working Group Members

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Examples of Clearinghouse Issues

• The contractor and the government or Prime disagreeing about an interpretation of the internal EVM process vs. ANSI/EIA 748.

• Presumed incorrect interpretations of the ANSI/EIA-748 Intent Guide ─ NDIA Owns this document

• Presumed enforcement or direction given inappropriately which is over and

above the requirements.

• Unprofessional methods or actions in conducting the government reviews. The method of delivery or content of the briefing at the end of the review.

• Issues involving the SSR/SSI (Joint Surveillance reviews) process; subcontractor validations and subcontractor reviews

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Examples of Clearinghouse Issues – Cont.

• Tools recommendations or usage outside the process requirement, or specific people recommendation or references that are not appropriate.

• Prime contractor not allowing OTB, when one is absolutely best solution

• DCMA Internal Memo re-evaluating Validation Approvals

• How do you handle a subcontractors MR? ─ Planning Package ─ Prime’s MR (track separately)

• How feasible is an UTB (Under Target Baseline)?

• Replanning LOE

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Working Group Review

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Working Group Review

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Working Group Review

Page 23

Status of Guides

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Working Group Review

Page 25

Working Group Review

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Working Group Review

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Working Group Review

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Working Group Review

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Summary

The IPMD is essential in that we continue to work collaboratively with Government agencies to insure effective Integrated Program Management Processes are implemented efficiently in a time of fiscal constraint…

Government scrutiny is increasing (OSD and the Civilian Agencies)

Budgets are ever shrinking at the same time requirements are increasing

Industry and Government must work together to achieve consensus on common challenges.

Opportunities in place to work with Government to ensure policy is appropriate

Continued effort required in areas of contractual issues, materiality of compliance findings, consistency of interpretation, training, reciprocity and scalability

Website: http://www.ndia.org/Divisions/Divisions/IPMD

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Questions